We recently published 12 Hot, Cold & Stable Stocks Jim Cramer Recently Discussed. Darden Restaurants, Inc. (NYSE:DRI) is one of the stocks Jim Cramer recently discussed.
Darden Restaurants, Inc. (NYSE:DRI)’s shares faced significant pressure last week when they dipped by 11.5%. According to media reports, the shares fell after the firm’s fiscal first-quarter earnings report. The results saw Darden Restaurants, Inc. (NYSE:DRI)’s earnings-per-share of $1.97 and revenue of $3 billion miss analyst estimates of $2 and $3.04 billion. Ahead of the earnings, the shares were in the green and were up by more than 12% which stood against the performance of some other restaurant stocks. Cramer discussed Darden Restaurants, Inc. (NYSE:DRI) in detail:
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“What do you do with the best restaurant company? Olive Garden, fantastic margins. They do have a long. . .steak. But I would tell you that this thing went down hard on a miss. 3% yield, it is still a flagship. I think it can come back. It can come back but you have to have some diminution in food prices. Because there’s certainly no, it’s not a traffic problem. People want to go, but you’re not going to get that upside and David people trying to talk about, demand destruction. In other words, steak is up so much that people aren’t going to eat steak. So therefore, it comes down. Boy has that ever not occurred.”
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Disclosure: None. This article is originally published at Insider Monkey.